SCOTTSDALE, AZ -- Benchmark Electronics today announced fourth quarter revenues of $680 million, up 11.8% from $608 million a year ago.
The net loss was $76 million for the period ended Dec. 31, down from net income of $19 million in 2016. On a non-GAAP basis, net income was $25 milion, up 13.6% year-over-year. The results include $98 million in tax expenses related to the effects of the U.S. Tax Cuts and Jobs Act.
Operating margin fell 50 basis points to 3.4%. On a non-GAAP basis, operating margin fell 60 basis points to 4.2%.
Fourth-quarter revenues from higher-value markets were in line with expectations, including strong demand in Test & Instrumentation from semi-capital equipment customers. Higher-value markets were up 10% year-over-year from Test & instrumentation and Medical markets. Traditional markets revenues in Computing and Telecommunications were up sequentially from exceptionally stronger Computing demand and increased Telecommunications orders. Traditional markets were up 16% year-over-year driven by Computing.
"I am extremely pleased with both our fourth quarter performance as well as the progress we have made in 2017, posting a 7% revenue increase for the full year. We continue to expand our gross margins and have made further improvement on balance sheet management, resulting in operating cash flows for the full year of $146 million. Additionally, ROIC improved by 210 bps year-over-year to 10.5%," said Paul Tufano, president and CEO.
For the fiscal year ended Dec 31, net sales rose 6.8% to $2.47 billion. The net loss was $32 million, down from net income of $64 million. On a non-GAAP basis, net income rose 12.5% to $73 million.
"During 2017, we made significant progress on our key initiatives to reposition the company," Tufano said. "As we look forward to 2018, we will continue our focus on these foundational areas: customer acquisition and experience, engineering and solutions expansion, operational excellence, and balance sheet management. In 2018, we plan to leverage and refine the base we established this past year. Our resulting progress will shape our trajectory for years to come."
For the first quarter Benchmark forecasts revenue of $585 million to $605 million. The company projects that new program bookings for the fourth quarter will result in annualized revenue of $142 million to $170 million when fully launched in the next 12 to 24 months.